Role and Concepts of Branding in Virgin Group

Role and Concepts of Branding
In Virgin Group

Table of Contents
Executive Summary..................................................................................................................................1
Chapter 1 – Aims, Objectives and Background to the study..............................................................2
1.1 Background to the study................................................................................................................2
1.2 Aims and Objectives of study.......................................................................................................4
1.3 Structure of research.....................................................................................................................4
1.4 Research Question........................................................................................................................6
1.5 Framework and Analysis...............................................................................................................6
1.6 Potential Significance of Research..............................................................................................7
Chapter 2- Literature Review..................................................................................................................9
2.1 Introduction.....................................................................................................................................9
2.2 Concept of branding.....................................................................................................................10
2.3 Role of brand equity in expansion of business.........................................................................12
2.4 Different branding approaches used by organizations............................................................15
Chapter 3 – Case Study.........................................................................................................................19
Chapter 4 – Research Methodology....................................................................................................20
Chapter 5 - Discussion...........................................................................................................................21
Chapter 6 – Conclusion and Recommendation..................................................................................22

Executive Summary
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Chapter 1 – Aims, Objectives and Background to the study
1.1 Background to the study
In the current business environment, marketing is an important approach as it
adds on majorly in the success of a firm. The aim of marketing of any organization is to
make the goods and services widely known in the global market and in this manner
company must adopt innovative and creative marketing activities (Clifton, 2010). The
process of marketing aids in launching and promoting of products in the market and
persuade the sales. The main ability of marketing includes aptitude of a firm to
understand about its target market and customers and communicate about the products
being offered by them.
Organizations mainly enforce marketing strategies to assess where the business
is currently and where it wants to be and particular strategies to reach there. Through
this, firm can boost up its sales level and increase the profit margin. In this regard, one
of the term that should be given due attention while enforcing marketing strategy is
brand. In marketing, brand is a promise that the product will perform as per consumer’s
anticipations and it shapes the expectations of buyers about the product. Brands
generally have a trademark that safeguard them from use by others and gives particular
information about the company, goods or service differentiating it from others in the
market (Jansses and et. al., 2010). The American Marketing Association (AMA)
explains “a brand as a name, sign, term, symbol, design or a combination of them
integrated to recognize about the goods and services of an individual or group of sellers
and to differentiate them from those of other sellers” (Sorenson, 2012). A strong brand
image helps in to make people aware about what the company represents and its
offerings; through this approach a company makes the product or service unique
(Aaker, 2009).
Branding is one of the most important concepts in marketing a business and
gives greater understanding to an organization’s name and its products. With the help of
effective emotional appeals and marketing message, an organization can aid in to
identify the market about the brand and differentiate it from other competitors based on
several factors such as, quality, tools, price and services. Firm’s designs brand by using
memorable names, symbols with logos, tag lines and other images (Kumar, 2009).
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Sometimes catchy slogans become strongly associated with brand so that people can
easily recall about the brand by hearing the slogan.
Developing a brand requires suitable strategy to design the entire marketing
process and it is often one of the most complicated and challenging issue in creating
identity of an organization. Branding must follow some constraints that aid in
establishing a brand in long run (Walley and et. al., 2007). Firstly, the most famous
brands in the globe have very easy and simple logos to remember. The company
should associate itself with simple things and ignore complex ideas. Secondly, the
brand should be different and should have individuality (Gentner, 2012). It must be able
to stand out from other parallel services or products, otherwise whole process may go
fail. Last, branding should be safe, i.e. while using symbols in logo; seller should ensure
that they do not offend the target customers. Hence, he/she must keep the cultural plus
regional sensibilities in mind while making branding of firm.
The brand identity needs to be repeatedly communicated in several different
ways with frequency and consistency throughout the product life cycle. Implication of
branding strategy is that it builds brand awareness for customers to ascertain point of
difference and similarity with competitors (Csaba and et. al., 2005). In order to succeed
in branding, an organization must understand about the needs and wants of its
consumers and prospects. It can be done by integrating brand strategies through firm at
every point of public contact.
In the present condition, a survey would be undertaken in Virgin group and some
other organizations as well that took assistance of branding strategy and expansion to
diversify the business. In this regard, a secondary research would be accomplished to
attain an in-depth insight in the area of research. In respect to secondary research
valuable journals, articles, scholarly books and other online and firms’ website will be
reviewed to acquire information for research. The main focus in research would be
given to Virgin Group Ltd., it is British multinational, branded venture capital
conglomerate firm founded by industrialist Richard Branson. The core business of
company is in the area of travel, lifestyle and entertainment and it contains more than
400 firms all around the world. Virgin was founded in 1970 and it’s headquartered in
London, UK (Virgin, 2013).
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The current study is focused towards assessment of role of brand and
significance of branding strategy in an organization. This study will make an attempt to
analyze the importance of brand and brand equity in virgin group. Through this research
the prevailing branding strategies and trend in expansion of brand would be analyzed,
and study will also help in developing appropriate branding strategies for future needs
(Riechesbaird, 2012). The basis behind undertaking this research is that it will provide
new insights into branding and the manner it could be undertaken appropriately to
achieve competitive advantage in the market (Miller and Merrilees, 2008).
1.2 Aims and Objectives of study
The main aim of the study is to analyze the role of brand and branding strategy of
Virgin Group in diversification of its business operations. The area of research is in
marketing and branding strategies by accomplishing the requirements of customers
through offering those expected goods and services to them. Brand image resides in
the heart and minds of consumers, clients and prospects. It is actually the sum total of
their experience and perceptions that can have an impact in the consumer decision
making process. In this regard, the study also includes some of the objectives for further
research that are as follows;
 To assess the role of brand equity in the expansion strategy of Virgin Group.
 To identify the significance of branding strategies in the achievement of success
in Virgin Group.
 To study the different branding approaches used by other groups in the process
of diversification of business.
 To recommend suitable branding strategy for Virgin Group in order to achieve a
competitive advantage in the market.
1.3 Structure of research
The present study moves ahead in a sequential manner as every section is
associated to each other and the subsequent sections could only be achieved after the
preceding section. The structure of the current report is as mentioned below;
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